1099-NEC Form
What is 1099-NEC form?
Form 1099-NEC, Nonemployee Compensation, is a form that solely reports nonemployee compensation. Form 1099-NEC is not a replacement for form 1099-MISC. Form 1099-NEC is only replacing the use of form 1099-MISC for reporting independent contractor payments.
The IRS brought back Form 1099-NEC to separate nonemployee compensation from other payments. Before 2020, nonemployee compensation was reported in Box 7 on Form 1099-MISC. Starting in 2020, that box reports direct sales of $5,000 or more, and nonemployee compensation is reported on Form 1099-NEC.
Who must file 1099-NEC form?
Use form 1099-NEC to report nonemployee compensation. Nonemployee compensation includes the following payment types to independent contractors:- Fees
- Commissions
- Prizes
- Awards
- Other forms of compensation for services
If you pay an independent contractor nonemployee compensation, separate nonemployee compensation payments from all of your other form 1099-MISC payments.
For payments made in 2026, file Form 1099-NEC when you pay a worker $2,000 or more in nonemployee compensation. Report backup withholding on the form regardless of the amount.
How to eFile 1099-NEC form?
It takes 3 simple steps to eFile your 1099-NEC form with 1099smartfile.com
- Sign up on our website for free.
- Fill in the payer, recipient(s) information. Create an e-Filing (electronic version of 1099-NEC form).
- Submit the e-Filing and we take care of the rest.
You will receive an email status confirmation within 24 hours depending on the IRS workload and you can check your status on 1099smartfile.com.
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Filing Deadlines:
| Tax Form | Recipient Deadline | Paper Filing | e-Filing |
|---|---|---|---|
| 1099-NEC | Feb 1, 2027 | Feb 1, 2027 | Feb 1, 2027 |
| 1099-MISC (No Data in Box 8 or 10) | Feb 1, 2027 | Mar 1, 2027 | Mar 31, 2027 |
| 1099-MISC (Data in Box 8 or 10) | Feb 16, 2027 | Mar 1, 2027 | Mar 31, 2027 |
| 1099-INT | Feb 1, 2027 | Mar 1, 2027 | Mar 31, 2027 |